tv Boom Bust RT August 17, 2019 3:30am-4:00am EDT
back in not it not ready so much profit there in the. level of points to find. out about one fine. american exactly the same thing on the dotted seventies and it's being ignored by all the my instrument. central banks so whenever the bank. on a me it's actually kush from the private sector. and then calls of poland a matter of fact recession again so that's what i. that's that's my general framework and. believing that. meeting economy actually. companies less willing to borrow money. to matter that's what's causing a downturn right now i think does of the mine and having said that. at the moment. the way the. thing because the. because the
fed reserve was. much on the top and hasn't responded nothing gets a lot out of what has happened but it's not for fools who want to get anything like 2000. so another big slowdown scare this week was actually germany after the official g.d.p. think i showed a contraction on point one percent in q tip so we may already be in a 2nd quarter of the contraction which would meet that textbook definition of a recession is the german recession already on its way and similarly what's the most important metric to follow when trying to make that call. i think it is germany's having a recession and germany's christ didn't have a credit because german banks and german policies are actually discouraged brought in borrowing and they've survived mainly on huge strides. but that is a self-inflicted problem as germans are obsessed with running a balanced budget or even better that i think runs us but there's more monetary
theory in the sauces if the government runs a service because the private sector they have the same deficit and the as a private sector doesn't borrow money often cites then what you have is actually decline and. so this is an ongoing a lot of the germans they're trading that the entire economy like a household when a house all of them can spend less than a day and they will put my own side when a country tries to do it what actually happens is the attempt to trade the savings actually turns out completely out of line and so generally. having a recession. and steve circling back to asia china also seems to be slowing down but from a higher gear sort of speak clearly not in recession but with growth rates still well above the u.s. but when you back with made into such high recent growth rates a significant slowdown can still be very uncomfortable at the margins what would you say is china's status right now and where is it heading. now that sean is
actually a we had a mixture of both governments that the sas luxury theory that's popping out as much government money is necessary to run a leave the structure it's creating both in china on out soft on it with pride. it but at the same time they got through 2000 cross bar i don't think credit demands will compensate for question exports and you've had a pretty much a doubling of the difficult and shauna a huge amount of speculation. about a lot of which is coming coming across now but what you've got is even the usual government spending balancing the decline in private spending with credit not necessarily slowing down but. a lot of those credit by sed projects going bankrupt . islamists it's very hard to answer for the fundamentally with the government
spending and its spending its infrastructure in trying to continue growing very very vaults all my worry about china of course is not. very levelheaded in ellis' is always from steve keen the crown funded professor of economics on petrie on check out that content very interesting and author of can we avoid another financial crisis thanks for joining us. on this week with the last leg of the yield curve the 2 ten's now in verity markets got spooked and lost some of the worst sessions of 2019 let's see how they ended up in moscow the molex ended down hitting a one month low where industrials and materials lead the decline as we see the 1st real signs of a recession on the horizon net capital outflows in the 1st 7 months increased by 1.6 times to $20000000000.00 as investors now seek safety over in asia the shanghai markets rallied up in a ball of how weak and they are 1.3 percent china's central bank now set the daily
midpoint weaker than 7 per dollar for the 7th consecutive session markets seem to be bouncing back as the terror threat has been pushed back temporarily until at least december 15th giving exports a little boost over in japan the nikkei recovered from its midweek scare when the benchmark member. but it still ended up down 1.3 percent for the week as investors are now betting that the bank of japan will ease further and expand stimulus of a global slowdown the economy recovery there quickly shifting to a more preemptive easing stance rather than waiting for 7 any hard evidence indicating a loss of the momentum down in hong kong in the hang seng continued to fall closing down about one percent for the week as a rise continue for the 11th straight week disrupting multiple businesses and shutting down the airports now this resulted in a huge disruption of the day to day functioning of one of the world's most important financial centers it is now turning into a struggle of wills between the bears betting against hong kong equities and the
mainland chinese investors who are now rapidly buying that dip and attempting to restore stability short selling volume on the climbed up to 17 percent this week in total turnover the highest since 1908 mainland now remains the net buyers for the 21st straight day on friday over in india the sensex managed to eke out a very small game barely a percent positive market reaction follow the data released showing that retail inflation had eased to slightly in july however the upside right now is limited as the rupee is now the worst performing asian currency in august slipping 3.2 percent since august 1st down australia suffered this worst week tumbling down 2.9 percent leading into the weekend the dailies on the chart look nasty as we're breaking all sorts of major support levels here the market actually lost a total of $60000000000.00 in value wiping out all of the gains that made over the past 2 months and finally the all shares in south africa they ended down as local
sentiment still remain bearish treasury yields for the developed markets have continued to get high with all eyes now on the inversion materials mining and resources also declines as forecasts are now being adjusted for a slowdown in the near future now let's head over to danielle for that years and then america. thanks kristie there is a big trend in this week's arrows in europe in the americas see if you can spot it starting in paris with the cac down for the week in response to that week's events significantly down on monday rallying mid week before another sharp drop on thursday busy then up by more than one percent on friday not enough to make up for those earlier losses and in the week in the red the dax another red arrow no surprise there with the gloomy news this week on german g.d.p. growth contracting point one percent in quarter 2 foot sea in the u.k. also down with a similar story with gains of 7 tenths of a percent on that index on friday not enough to offset the results from earlier in the week as breck's it drags on and we'll have more on that later in the show
moving to the americas starting with the cold we get another red arrow on the board for the week despite a favorable report out last friday from colombia predicting 3 point one percent growth for colombia in 2019 overall from 2.7 percent in the 1st half of the year another red arrow at the in brazil and if you look at the 5 days across these markets and exchanges it's remarkable to see the pattern falling on monday rallying mid week before sharper drop on thursday muddling through friday and we see that pattern again here turning to north america and why you see the nasdaq and s. and p. 500 index all down for this dramatic week we see that same shape i mentioned in the charts for these exchanges almost to the minute tracking the market movement moving events of the week and finally ends iran so canada it's no surprise following the trend all red arrows as we can europe in the americas the ts acts like the dow had its worst day of the year this week on wednesday and that is your global stock
market wrap for the week. time now for a quick break but hang havoc as miley attack iraqi families as they are i guess that's continuing coverage from china with an exclusive interview with the vice president of strategy we just. the implications of boris johnson polls the rumored early august greg said and as we get a break here the numbers at the close. a paradise with some around turned into a round the experimentation field but agricultural chemicals we know that these
chemicals have consequences they are major irritants there's no question otherwise why would that the chemical company workers themselves be geared up that suited up locals attempt to combat the on regulated experiments but often in day you have many of these people one foot into the biotech pharma and the other foot in the government regulatory bodies this kind of collusion is reprehensible while the battle goes on the chemicals continue to poison hawaii and its people so one has to ask the question whether there is a form of environmental research going on in hawaii whether these companies feel they can get away with this because the people have less political power. or with the suitable to solicit will. live for sunday and this is their.
role is going to say that the board of business with them must do so it will be. listening with. a lot of fellows a lot of help us out because i am a little. ok see that like i know it but you know but you also look at them out on the funniest diplo it's post it's home to most of the shows just the moon so almost. moon when you want. to.
join me everything on the alex salmond show and i'll be speaking to guests of the world the politics sports business i'm show business i'll see that. kind of financial survival job today was all about money laundering 1st to posit this cash in the 3 different. oh good that's a good start well we have our 3 banks all set up here maybe something in europe something in america something overseas in the cayman islands it will pull these banks are complicit in the tough congress to decide to give mccomas a camera to do some serious money laundering ok let's see how we did while we've got a nice laundry watch for max and for stacy oh beautiful jewelry and how about. luxury automobile again from that you know what money laundering is highly illegal. much keyser of course. cas calendar is darren
alfonzo and mongering is darned there's changing to a change guard service. his 1st words were added i will see are a challenging post you got 2 years to live. i have no doubt that what happened was criminal. offense concentrate market is a $1000000000.00 industry these companies have a huge financial motivation to sow these problems there are numerous studies showing that dumps his work keen to test facts right concentrates free infectivity on the patient won't give them doctors the wrong choice to play golf or turn to stone why they would give me consecutive doses day or day and people still die and i'm always question or so i write being are to live when so many have.
what is due before you came here where did you work before you came here when as you live well death row in many us states capital punishment is still practiced convicted prisoners can spend years waiting for execution but most of the time the victims' families they are very much in favor the death penalty there are some people that because of what they did have given up the right to live among us some are even proven innocent off 2 years on death row and how many more exonerations is it going to take before we as a society realize that this is not working and we actually do something about.
you know i didn't. welcome back hong kong airline cathay pacific c.e.o. rendered his designate tendered his resignation on friday the move comes amid tensions between the airline and beijing over the company's employees taking part in antigovernment protests that have gripped hong kong for the last 2 and a half months airlines chief customer and commercial officer paul lu who also serves under haag resigned from his post hawg issued
a statement about the situation saying quote these have been challenging weeks for the airline and it is right that paul and i take responsibility as leaders of the company augustus tank and wing who serves as c.e.o. of heiko an engineering company owned by the airlines parent company swire pacific was tasked to take the reins of cathay the company's stock price has suffered having 10 year lows this week the chinese aviation regulatory arm issued a safety demands of cathay and required the airline to give full information of flight crew flying into the country's airspace. china while a technology has faced accusations of technicians helping the african governments to spy on their political opponents this is just the latest in a series of concerns about the telecom giants aspirations to penetrate world markets r.t. america sara month has a way fans and headquarters and sat down with one of the company's heads to discuss these allegations. create tension between the united states and china have only.
the worst in recent memory. telecom giant wall wave has been the forefront of a lot of these issues the united states says that the telecom giant close or the national security threat this is something while we have repeatedly denied party america has been warning while we had here in. diving deeper financing we sat down for an interview with vice president of strategy andrew williams and it's a private company owned by its employees as i say is about 100000 shareholders and to me as someone that's come to this company i think it's extraordinary the benefits of running an organization like that because people don't necessarily just pick up their paycheck at the end of the week of the end of the month they have a real vested interest in the commercial success and the quality of the products and services that the company produces and the latest allegations against wall way the wall street journal reported while we technicians in at least 2 cases personally helped african governments spy on their political opponents unnamed
senior surveillance officers said it was always employees received help from the offices in wally's headquarters uganda's top digital supplier while we were a few did the claim and said they'd never been engaged in such hacking activities we have neither the contracts nor the capabilities to do so you really have to check everything assume nothing. and trust almost nobody and that's the process in the system that we stick to and work with many of our partners around the world on that basis during our visit to always cybersecurity lab talk comm giant highlighted security as top priority and said they're the most transparent company in the world this despite facing growing international scrutiny we refute it quite vociferously . again it just feels like it's one of those stories that come up now and go to completely verify it it sounds like even other companies that have been cited in
terms of him. i've made it very clear they don't even have contracts in. one of the countries involved so it looks like that this story is unfortunately really just fake news and we have to suffer with as a state patriotically while we pledge its commitment to continue to provide the best technology and support for its customers all while continuing to fight the u.s. ban reporting in shenzhen china. are. turning to climate politics and asia and oceania australia is not making any friends this week after an acrimonious regional meeting the australian delegation led by recently reelected prime minister scott morrison reportedly demanded the removal of references to keith climate protection goals such as phasing out coal limiting temperature increases to $1.00 degrees celsius and reaching the 0 greenhouse gas emissions by 2050 the foreign minister of the island nation of ghana want to said the talks were fierce at times and nearly broke down as other island nations facing
existential threats from rising sea levels prost for urgent action the prime minister of tuvalu and nell a simple one of the told mr morrison in a joint press conference you were concerned about saving your economy in australia i am concerned about saving my people into vaal who later australian deputy prime minister michael mccormick aggravated the row mr maccormack scoffed at his neighbor's demands for a phase out of coal which he says would cost australian johns' while he said of those neighbors facing rising seas quote they'll continue to survive because many of their workers come here and pick our fruit pick our fruit grown with hard australian enterprise and. and now i'm going reality show ourself we know as brags that had another interesting episode this week as a major character who's been trying to keep himself on the edge of the state finally made his big play. here to give us the tea as the young people say is
hillary ford wedge a board member of the british american business association so hilary let's just get right to the main event of this week on bragg's that which was jeremy corvet who has been remarkably cautious and slow to make a clear move on braggs that he finally made his big move and essentially called out the opposition members and conservatives opposed to no deal brags that she joined forces with labor to prevent that outcome so what is their work or been proposed and where are we after his big play yes of course as the leader of the labor party the opposition party and what he wants to do at all costs is to be in power so what he's trying to do is he's trying to sort of muster a coalition he says he's going to call a no confidence vote and he's aiming to yes he's aiming to rally those tory backbenchers many of whom were originally remain knows the liberal democrats and anybody else basically that will join him in trying to walk to the drugs that no breaks it deal that johnson is going to push through by october 31st and so he's
we're basically looking to head a caretaker government and sort of a transitional government which would be a coalition of all those different factions and know what about those m.p.'s who have said no deal that would be a grave threat to the u.s. should u.k. economy and perhaps even the stability the integrity of the u.k. as we know it with regard to northern ireland and scotland how safe or dangerous it is for them to pass on an opportunity to be seen as blocking a new deal bragg's it over their discomfort with a caretaker even a caretaker government headed by german corben we saw the mayor of london so he can try to force the question essentially for the lib dems with that sort of pressure tactic work you're right he did try to force it i would say that the greatest existential threat is jeremy corbett because he would have a socialist government the markets would collapse he would be very anti-business and pro-union and that is at a time when actually we've seen you know the rate wages raised to the highest level they've been in many years to the british one. so i actually think he's more of an
existential threat i think actually m.p.'s are going to be very reluctant to join him because boris johnson is such a force that of course what boris johnson has in his back pocket pocket is his relationship with donald trump and in an impending or potential trade deal so i think it's going to be raillery risky for anybody who backs jeremy corbyn so i think they're going to try and stand fast and not cave to that pressure now the other dramatic event of this week was this m.p. the chair of the foreign affairs committee in parliament a member of prime minister johnson's conservative party he suggested that the pm could unilaterally pull out of the e.u. within 10 days so how do they react to this suggestion and what did this tell us about how we're doing here actually because the us you're referring of course to tom took in hand he is the m.p. from canada mailing and this was sort of a twitter statement that he made and so actually what's the opposite of a true toward to twitter proposition and part of me thinks that it's just he's floating that idea almost like sort of like a worst case scenario maybe it was to brace the markets i actually think it would
be unlikely within 10 days only for mainly 2 reasons i think that that would would shock international markets number one businesses are ready but maybe not within 10 days and also a lot of british holidaymakers of course are in europe at this time so that would throw them into a little bit of a conundrum returning to that back to the u.k. with this happening when people weren't prepared passport and customs wise and hillary pulling back for a bigger picture you mentioned the news on wages this week the national to statistics office said this we could be sick pay rose by 3.9 percent in the 2nd quarter the fastest rate of growth on that point since june of 2008 point 3 in with the other elements in the larger picture well i think that is it's great news it's great news for the british workers and of course what it does is it proves the brics it was all about the work of bracks it is about those that want jobs and want good wages in the u.k. not about global leaders not about those that are what the out of touch with the average worker across the u.k.
and this actually fits very well with boris johnson strategy and i think it's great news for him and great news for anybody who's going forward with a no breaks it because it shows stability and an underlying on the line prosperity for the british worker. now looking forward here the story broke earlier today that the prime minister is going on a diplomatic blitz this coming week meeting with his counterparts in france and germany and ireland as well as the european council president donald tusk ahead of an upcoming g. 7 meeting so we can kind of safely assume that brags there will be in the agenda but what do you think mr johnson's pitch will be when he sits down with these other decision makers are totally right of course breaks it will be on the agenda i'm sure i did just come at this news to just come out i think there are 2 factors here i think that both mccraw and markel are going to be completely different to talk to the jury so they ever had she did not have a microphone to talk to who has a 14 percent 27 percent approval rating and angela merkel uncle merkel is facing 14 percent of german products that were born in germany from from germany
by the u.k. and now bought from the u.s. so both macro and merkel are weakened and i think that's going to bode very well for boris johnson that's another reason i think he's going on the splits he also needs to sort of bypass the e.u. and go directly to those leaders because those leaders are being pressured by businesses in their countries. so it was always hold for which board member of the british american business association those are joining us pleasure. and that's it for this time you can catch boom bust on direct t.v. channel $321.00 dish network channel $280.00 or streaming 247 on pluto to be there for each of you have traveled to 79 are as always had us up that you did our current science boom bust arty scene x. time.
what do you do before you came here where did you work before you came here when you live well death row i'm in many us states capital punishment is still practiced convicted prisoners can spend years waiting for execution but most of the time the victims' families they are very much in favor of the death penalty there are some people because of what they did have given up the right to live among us some even proven innocent off the years on death row and how many more exonerations is it going to take before we as a society realize that this is not working and we actually do something about. how why a paradise with some around turned into a round the experimentation field for agricultural chemicals we know that these chemicals have consequences they are major irritants there's no question otherwise why would that the chemical company workers themselves be geared up that suited up locals attempt to combat the on regulated experiments but often in day you have
many of these people who have one foot into the biotech pharma and the other foot in the government regulatory bodies this kind of collusion is reprehensible while the battle goes on the chemicals continue to poison hawaii and its people so one has to ask the question whether there is a form of environmental research going on in hawaii whether these companies feel they can get away with this because the people have less political power. thanks guys or financial survival. when customers go by you reduce the price. to now well reduce a lower. that's undercutting well what's good for market is not good for the global economy.
suitable to sleep while. i look for sun. rolls going to say the course of business with the mustard so it will be. this is new with. us now because i am. ok see that i know is that nobody else to look at them out on the funniest diplo is most of it so much more of a show such as the fluid souls of. the moon when you must.
let me or moscow in the headlines this morning the trumpet ministration congress to permanently reauthorize the suspended mass surveillance program cry from rights groups. as the fake continues in the united states over israel's treatment of 2 democratic lawmakers we look at america's only lowers the target television critics . of the 9 year old girl told by a cult she can't join the country's best known boys. either her good morning or watching us international laws that make him known here most.